Revenue and Industries Minister M O H F Shah Jahan on Wednesday said the century-old Anglo-French Textile Mill, a government of Puducherry undertaking, would never be closed at any cost.
He told PTI in the wake of a proposal issued on January 21 by the managing director of the Pondicherry Textiles Corporation P Priyatarshny running the AFT Mill, popularly known as Rodier Mill, since it was taken over in 1985 from the private sector.
The proposal was that 'the government is totally in favour of implementing VRS (voluntary retirement scheme) and does not want to close the now-defunct mill, he said.
The cabinet headed by Chief Minister V Narayanasamy decided recently that the mill should make VRS facility available for the workers opting for the scheme, Shah Jahan said.
"We never intended to close the mill," he said and added that the cabinet decision was sent to the Lieutenant Governor Kiran Bedi for approval.
The Minister said the Lt Governor had, however, disapproved of the cabinet decision.
"The Lieutenant Governor took the stand that the mill should be closed on the ground that the mill is in the red," the Minister said.
With the difference of opinion between the cabinet and the Lt Governor on the future of the mill the issue was referred to the Central government.
"Normally, when differences arise between the government and the Lt Governor the issue concerned should be sent to the Centre for its decision as is envisaged in the Business Rules of Puducherry government', he said.
The issue relating to the AFT Mill was thus now pending clearance from the Centre and hence no decision had been taken by the cabinet to close the mill, Shah Jahan said.
Shah Jahan said he would again write to Bedi informing her of the stand of the government that the VRS scheme alone should be introduced and any decision to close the mill should be scrapped.
Earlier, the opposition AIADMK legislature wing leader A Anbalagan released at a press conference a copy of the notice issued on January 21 by the managing director of the mill P Priyatarshny under the Industrial Disputes Act 1947 proposing the closure of the millwith effect from April 30.
The notice said the services of 619 workers of the mill, which is only partially functioning, would be terminated on account of closure of the mill.
The managing director had sent the proposal to the Secretary (Labour) of Puducherry government and stated in the notice that in the event of the approval for the closure "every workman in the undertaking would be paid compensation as specified in the Act."
It was also stated that there were no funds available with the undertaking 'even to meet the day-to-day expenses.'
Anbalagan said the Congress government here was allegedly causing hardship to the workers by feigning to be champions of the working class while simultaneously letting closure of the major undertaking.
He said the government should adopt VRS scheme and withdraw its present proposal to shut the mill.
A special session of the Assembly should be convened to discuss this important issue and solutions to ensure functioning of the mill without room for closure should also be evolved, he said.
Disclaimer: No Business Standard Journalist was involved in creation of this content
